HomeMy WebLinkAbout09-13-1988
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C#TY of GENrON, TEXAS MUNICIPAL BUILDING/ DENTON, TEXAS 70201 /TELEPHONE (817) 500-83C Y
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Off/co of the City Mani r tr
L'. MEMuRAIVDUM '
TO: Jennifer Walters, City Secretary
FROM: Lloyd V. Harrell, City Manager
UAIE: September 6, 1966
SUBJLIA Special Called Meeting of the City Council
I hereby call a special meeting of the City oC Denton City
Council for September 130 1966 at 5:30 p, m, in the Civil
Defense Room,
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Q4,'arre
City Manager
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AGLhDA
CITY OF DENTON CITY COUNCIL
September 13, 1966
I Mork Session of the City of Denton City Council on Tuesday,
i September 13, at 5:30 p.m. in the Civil Defense Room of City
Hall at which the following items will be considered:
y S:30 p.m,
d 1. Discuss altern,ite bids for the Teasley Lane project.
` i 2. ;
Discuss proposed ordinance setting new water rates. i
3. Update on the City health insurance program,
I ,
4. Executive Session:
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A. Legal Matters Under Sec. 2(e), Art, 6252-17 r
V.A.T.S.
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B. Real Estate Under Sec. 2(f), Art. 6252-17
V.A.T.S.~
C. Personnel/Board Apppointments Under Sec. 2(g),
Art 6252.17 V.A,T,5.
Special Called Meeting of the City of Denton City Council on E
Tuesday, September 13, at 7:00 p.m, In the Council Chambers of
City Hall at which the following items will be considered: 11
Jaw. 7:00 p,m.
1. Hold a public hearing regarding the proposed 1966-69
City of Denton Program of Services.
1 Following the conclusion of the public hearing, the Council
f will reconvene in the Civil Defense Room for a work session at 1
which time the following item will be discussed:
1. Discussion regarding the proposed 1966.69 City of
Denton Program of Services.
C E R T I F I C A T E
1 certify that the above aHa of meeting was posted on the
bulletin r at the Cit of the City o Denton, Texas,
on the
day of , 1966 at t~ o'clock
-SECRETARY
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AGENDA
CITY OF DENTON CII1 COUNCIL
September 13, 1966
4 Work Session of the City of Def~ton City Council on Tuesday,
September 13, at 5:30 p,m, in the Civil Defense Room of City
Bail at which the following items will be considered:
5:30 p.m.
r., 1. Discuss alternate bids for the Teasley Lane project.
2. Discuss proposed ordinance setting new water rates.
3. Update on the City health insurance program.
4, Executive Session:
A. Legal Matters Under Sec. 2(e), Art. 6252-17
V.A.T.S.
8. Real Estate Under Sec. 2(f), Art. 6252-17
V.A.T.S.
C. Personnel/board Apppointments Under Sec. 2(g),
Art 6252-17 V.A.T.S.
Sp--cial Called Meeting of the City of Denton City Council on
Tuesday, September 13, at 7:00 p.m. In the Council Chambers of 1
City Hall at which the following items will be considered:
7:00 p.m.
1
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1. Hold a public hearing regarding the proposed 19b6-69
City of Denton Program of Services.
Following the conclusion of the public hearing, the Council
will reconvene in the Civil Defense Room for a work session at
which time the following item will be discussed:
1. Discussion regarding the proposed 1966-69 City of
Denton Program of Services.
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C E R T I F 1 C A T E
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I 1 certify that the above notice of meeting was posted on the
bulletin board at the City Hall of the City of Denton, Texas,
i on the day of , 1966 at o'clock }
CITY AIM
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clryofDENrON, TEXAS MUNICIPAL BUILDiNO / DENTON, TEXAS 70201 /TELEPHONE (917)660-830?
Office of the City Menegee
M E M O R A N D U M
TO: Lloyd V. Harrell, City Manager
FROM: flick Svehla, Deputy City Manager
DATE: September 9, 1966
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SUBJECT: Teasley Lane Bids
i September 1, 1966, we received bids on the portion of Teasley
Lane from Dallas Drive to the 1-35 frontage roads. We bid the
project with a number of thickness alternatives and also
asphalt and concrete alternatives. We also bid the project
with a fixed time frame of 60 work days and a free or unlimited
amount of days to be furnished by the contractor. These last
two alternatives were connected to specific time frames with
consideration for the facility being totally closed or open
during construction. We set a minimal time frame of 60 days on
the option that would close Teasley entirely, and there were
longer time frames bid by the contractors if the project was
f left open to sone traffic Juring construction, bids were taken
this way In order to allow the Council to consider all the
options before awarding the bid.
Prior to doing that, Staff would recommend that we solicit ,
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input from the owners and the commercial tenants in this area.
We could do this three ways, The first would be a process
similar to that which was used on Teasley Lane recently. We
would notify the owners and tenants of a scheduled meeting,
hold a meeting to review the options, wait several weeks for
the input, and then present the information to the Council,
The second option would be a much faster option where we would
try to solicit Information and prerogatives b phone. The
third option would be to visit with tenants on the site. This
last option would allow more explanation and information to be
provided to each of the affected establishments. We would be
able to provide drawings and show people on the ground what
would happen in their particular area,
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Teasley Lane bids
September 9, 1966
Page 2
The other factor that is concerning us is time of the year and
its effect on the approaching business seasons. Contract
letting this time of year always effects the holiday season,
d Closing the facility and using the sixty day time frame, would
mean that we would finish the facility some time very close to
Christmas. If we allowed it to be open and used a linger
constriction time period, we would affect all of the businesses
all the way through the Christmas holiday season. liittier
procedure will probably affect most businesses ii the same way
for approximately the same amuunt of time. In the Closed
scenario, none of the businesses would have access uff of
Teasley (there would be access off of Dallas Drive and the
frontage roads). Under the limited access option, we would
allow traffic through the facility, but access to individual
businesses would be closed for a similar amount of time
Iq. (approximately 6U days). This would be because of the driveway
I modifications that would have to be made, and when the middle
I section of the road would be built no left turns would be
allowed.
We have made contact with the prospective low bidder should the
project be closed. He has indicated that if the awards can be
made soon, he would ba able to have the facility open before I
f. Christmas. It may not be finished totally, but it would be
open so that people could have access to all the driveways
along Teasley.
:I. Because the contractor has made these indications, we think it
is imperative to get feedback from the affected owners and
tenants as soon as possible. Therefore, we would recommend
that we take the last approach to acquiring this feedback. We
suggest that contact be made within the next week with as many
owners and tenants as possible. We suggest that we visit with
them and provide them infornation on the project and the two
alternatives (I understand that at your Thursday morning
meeting the Mayor suggested that Council members may want to
accompany staff), that would allow us to come back to you on
d September 20 with a recommendation to you to close the project
totally and invoke the 6U work day requirement allowing the
facility to be opened before Christmat, or to build the
facility under construction and take approximately six months
to finish the project.
R If you or the Council has an further
• Y any questions, we would be
happy try to respond to them at the meeting.
.I
c ve a
Deputy City Manager
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i~ September 13, 1968
f CITY COUNCIL AGENDA ITEM
TO: MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Lloyd Harrell, City Manager
SUBJ: RECEIVE 1988 WATER RATE STUDY.
RECOMMENDATION:
The Public Utilities Board, at their meeting of July 14 1988
recommended to the City Council approval of the proposed 1989,
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rate increase which is to become effective October 1, 1988.
SUMMARY/BACKGROUND:
A Water Rate Study has been conducted to determine the overall
rate increase needed by 1?89. The rote study uses financial 9
analysis to reflect the overall financial situation of the Water
Department, the Cost of Service Study to allocate costs
appropriately to the various rate classes, and a Rate Design
which incorporates information from the fin ncial analysis and
the cast of service study to design fair a
and equi►able rates.
An overall 8 1121 increase In rates is recommended for 1989.
B
ased on the results of the cost of Service Study, residential
customers will reeive a .7S rate. icrease
commercial customerscwill receive a1 7.21 ratenincrease while he
E It should be noted that even with this increase, the 1989
h financial statement still reflects a deficit of $39U,145*. ;
Lowever, as can be seen from the attached Table, the 1986
financial statement shows an overall
result of the postponement of the first gkany Roberts pay as a
1989. This gain will assist in paying for the losses in)989tto
For fiscal year 1990, it is anticipated that a rate increase of
approximately 51 may also be needel.
,i It is recommended that the proposed 1969 rate increase become
effective on consumption 14 days after approval of the ordinance.
*NOTE., The deficit reflects updated information.
:'eduction in the Lake Ray Roberts payment from The recent
000 to
$1,362,667 has led to a deficit of $3('0,145 instead of Ithe019
shown in the Rater Rate Study.
09,278
1 PROGRAMS, DEPARTMENTS OR GROUPS AFFECTED:
ji City of Denton, Utility Administration, Other Departments, and
the Citizens.
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t FISCAL IMPACT:
She 8-1121 rate increase will generate $759,559 in revecue as
can be seen below,
1966 1969 1969
BiIdgeted Actual
Revenue $80649,007 $8,935,967 $9,695,546
Expense 5,625,000 7,0629691 710620691
$205249007 $1,6730296 $2,632,855
Debt Service $114U69UOU $1,652,000 $106520000
ROI 462,000 6719000 6719000
Payment of loan _ -0- 5001000 506,000
$ 9360007 ($10149,704) ($3900145)
Respectfully submitted,
I_ 3
Lloyd llCiRarre, , ty anager
Prepared by,
'k7-E.-Ne s n, Executive
i Director of Utilities
' Approved by, ,
N 3 'ff-, E. Keelson, Executive
Director of Utilities
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Exhibit I Ordinance
II PUB Minutes of July 14, 1988
III 1966 Rate Design Study Revenue Requirement Input
i Parameters
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0 nPrOS e r Oentro Ya!er U!ilit?
33 U9:IF N,9 19ap Rate Ueritn 8tu~p
R!Ve 9/8/88
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r e Ilaquirr.ae 1 Input Frtsae!ers RGVISBD:
Descrfoti:e F'f 9-',C•81 F8 9-J"-P9 FI 9.30-N9 FY 9-1 1.00
E!!D,FTFD1 IFR~Pr8P0i
I TntsI ruerat iIt Frp•naeI 11.193 117 It, 11 041 IS 011 . 106 IL491,105
P1':r: 1
2 Debt Service 1,511,404 !.IOF,CtO !,912,900 L812,Orn6 1
3 Reg Rrberts Pagtentr 0 P f,3F2,P9s 1,192.86;
4 Capital Allit10nI Carre-it Fua4ir1 1t 1,F21 9:51559 956,619 4SL619
Less:
5 Other Revenues 139.000 14 F,040 19,000 11,000
B Nan-Operatiel Revenue 066,000 IE4(M 300.000 30 P,D00
T Bgasls: raeh jwtrue Ie4uirrent 56,341,004 11 23I,c00 11,9 U,69f 98,911,691
9 Percent Chance 29,511 14,001 11,2E1 O,OC1
9 Less: Debt Service 11.531,000 11,42f,O00 11,812,000 (1,952,000
i 10 Fquelc 12pe7ser Before
Debt Coverage 11,012,000 11,875,000 17,062,691 1i,0E2,811
Plus:
II Interest Portion of Debt 9271412 919,913 I, III III I, 210, P2;
I2 Depreciation Irpense 1,1lf,T79 127P,464 1,115,110 1,111,190
I3 Iquals: Accrael flevenue Regolresent 8,980,191 0,023,107 9,690,661 ;,699,641
U Plant fn It ell ce 131,912,461 x11,062,375 111,131,111 161,899,112
15 Lees: Aecuaulated Depreciation 19,160,1ft tip, 118430 1;2,111,780 Ii2,153,.0u
16 Less: Contributions 20,311,111 11,c42,f15 11,191,911 11,t92,718
~e 11 Plug: MP Iond Funded 0 0 0 0
11 144111; Net Plant In Serufre 2,060,797 11,280,991 11,119,111 11,119,114
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I! oFerttiol Revenue 16,111,000 10,619,007 11,935,987 l9,f9S,144
Fate Rivera Orowth I, 110, 000 !,105,041 296,990 1,016,139
20 Fast I1te Chilli 0.001 0,091 0.00E Mrs
21 NDt Used
! 22 Ieturn (ig)-1111 11136,eSll 1025,120 ±1}92,6771 !6,992
21 Late of Return 12[)+1161 -18.291 4.111 -1,971 9.051
j tl Ali 86.81 Return, Late of Return
If Debt Col. Ratio 1,17 2.67 1,53 91
i 26 FYedl Available After Debt (191•(71 Im rpo 11,:19,007 121,255 11801891
F If Return nn teveataeet 162,040 1921^00 671,000 6711000
1• , } 21 Funds Available Wet Return (261,0001 936,001 (t49,7D1! 109,859
It Plus PaFlent on Shcrt Tiro Loan 0 0 100 401 (1D0,40m
a 10 Funds AW1 Ole After Return Ind
Pa2ae0t in Shoat Tens Lnan 1261,0001 116,007 (1,119,?011 1190,!491
Cherie Per IMIa1 t,629'e 210051 l,C810 I,i600
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EKERPT
j P FTLIC; U11LI I IES 13CWiD MINUTES
July 14, 1988
7. RECEIVE _1988_W4TFR_ILATE_SIWY.
the 1988 Prater Rate Study was presented by R. E. Nelson,
Executive Director of Utilities, Dips Dutie, Financial Analyat
for the Utility Department and author of the study, and Rachel
Reece, CPA, outside consultant and previously with Arthur
Anderson, and has made a complete review of the water study.
Reece's review will assure that the study has addressed ell
requirements that me), be made by the Texas Water Commission.
klethodology, allocation factors, rate design and financial I
analysis were reviewed for the Board. It was pointed out that [
even with the proposed 8.5% rate Increeee, the Water System will
experience a net lees In Fiscal Year 1989 of $409,278. However,
postponement of the Ray Roberts obligations by one year will
offset this lose. The proposed rate increase will result in an
Increase of $3.00 per month on a residential cuatomer's aurrmer
bill and $1.95 lncreeae per month during winter. Overall
financial requirements of the Water Utility would justify a
larger Increase, but the limiting factor In the rate case Is the
maximum amount of Increase tolerable to the rate payer. For
this reason, the 8.5% rote Increase is proposed at this time.
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After general discussion, the Board tabled this Item until the
next maetIng.
Board adjourned for a break of approximately 15 minutes.
Upon return from the break, the board decided to reconsider th-A
proposed rate Increase and voted to do ao. Then Chew made t.
motion to recommend to the City Council that the City adopt the
rate schedules that are presented in the cost of Service Study.
Second by Thompson. All eyes, no nays, motion carried.
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NO.
AN ORDINANCE ADOPTING NEW WATER RATE SCHEDULES; PROVIDING FOR A
SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION I. That the Rate Schedules for water service as
prov a or n Chapter 25 of the Code of Ordinances, are hereby
amended as follows:
WATER RATE SCHEDULES
PAGE
WR Residential Water Service 2
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j WRN Residential Water Service Not Connected to Sewer 4
WRW Religious Worship Water Service 6
WC Commercial/Industrial Water Service 8
j WCS Commercial/Industrial Water Service Meter 10
% WCN Commercial/Industrial Water Service Not
Connected to Sewer 11
WWI Water Sale for Resale to Municipal Corporations
` Water Districts S Other Governmental Entities 13
i By Agreements Prior to June 1, 1986
WW2 Water Sale for Resale to Municipal Corporations Water
Districts & Other Governmental Entities By Agreements
After June 1, 1986 14
WG Intra-Governmental Water Services Not Connected
a to Sewer 16
WGN Intra-Governmental Sales of Finished Water 18
WGU Intra-Governmental Sales of Untreated Water 20
WF Standby Fire Service Water Line 21
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WFH Metered Water from Fire Hydrant 22
WRE Extra Jurisdictional Residential Water Service 23
WCE Extra Jurisdictional Commercial/Industrial Water
Service 25
SF-R Special Facilities Ritter 27
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SCHEDULE WR
RESIDENTIAL WATER SERVICE
APPLICATION
Applicable for single family residential service, and individu-
ally metered apartments or mobile homes or multi-family facilities
I with less than 4 units.
Not applicable to resale service in any event, nor to temporary,
standby, or supplementary service except in conjunction with
applicable rider.
NET MONTHLY RATE
(1) Facility Charge Billing Per 30 Days_
f 6.50
3/4" Meter i
1" Meter 7.75
1-1/2" Meter 112 ..05
0
2" Meter
(2) Volume Charge Rate Per 1,000 Gallons
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j WINTER SCMMER
Billing months of Billing months of
NOV. through APRIL MAY through OCT.
0-15,000 gals 1.80 1.80
~ 15,000-30,000 gala 1.85 2.55
1.90 3.10
over 30,000 gals
Facility Charge
MINIMUM BILLING:
PAYMENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance.
SPECIAL FACILITIES
All services which require special facilities in order to meet
customer's service requirements shall be provided subject to the
special facilities rider.
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PRORATION OF UTILITY HILLS
t" (a) Billing for the Facility charge shall be based on 12 bill-
ings annually,
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Formula:
Actual days in reading ._period x facility charge
1
3 days
(b) Billing for the water used shall be based on 30 days
month to determine the million gallon consumption o pbe
charged to each rate block.
Formula:
f
Actual days in readin period x GAL in rate block x RATE per
aye 1,000 gallons in rate block
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SCHEDULE WRN
RESIDENTIAL WATER SERVICE NOT
CONNECTED SEWER
APPLICATION
Applicable for single family residential service, and individu-
ally metered apartments or mobile homes or multi-family facilities
with less than 4 units, where the metered water is not returned to
the wastewater system for collection and treatment; e,g., lawn
sprinkler or septic system,
I Not applicable to resale service in any event, nor to temporary,
I standby, or supplementary service except in conjunction with
applicable rider.
NET MONTHLY RATE
(1) Facility Charge Billing Per 30 Days
3/4" Meter 6,50
1" Meter 7.75
1.1/2" Meter 11.00
{ 2" Meter 112.25
I f (2) Volume Charge Rate Per 1,000 Gallons
M WINTER SIMMER
Billing months of Billing months of
NOV. through APRIL MAY througi: OCT.
a
0-15,000 gals 1.80 1.80
15,000-30,000 gals 1.85 2.55
Over 30,000 gals 1.90 3.10
MINIMIM BILLING: Facility Charge
PAYMENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance.
SPECIAL FACILITIES
All services which require special facilities in order to meet
customer's service requirements shall be provided subject to the
j special facilities rider.
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PRORATION OF UTILITY BILLS
(a) Billing for the Facility charge shall be based on 12 bill-
ings annually.
Formula:
Actual da a in readin riod x facility charge
ays
(b) Billing for the water used shall be based on 30 days per F~
month to determine the million gallon consumption to be
charged to each rate block.
Formula;
Actual days in reeding period x GAL in rate block x RATE per
30 days 1,000 gallons in rate block
alp
16 ~ 1.
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SCHEDULE WRW
RELIGIOUS WORSHIP WATER RATE
APPLICATION
Applicable to any facility used primarily for religious worship,
education and meeting Vernon's Annotated Texas Statutes (V.A.C.S.)
guidelines for property tax exemption as a religious organization,
served by a single water service line through one meter.
Not applicable for resale ppoo-
ary, standby, or supplementary service in
excany ept intconj nctione
r with
applicable rider.
it NET MONTHLY RATE
F i
(1) Facility Charge Billing Per 30 Days
3~4" Meter 6.50
1 ' Meter 7.75
1-1/2" Meter
211 Meter 11.00
112.25
(2) Volume Charge Rate Per 11000 Gallons
WINTER SIMMER
i
Billing months of Billing months of
NOV. through APRIL MAY through OCT.
0.15,000 gala 1.80 $ 1.80
15,000-30,000 gale 1.85 $ 2.55
Over 30,000 gals 1190 $ 3.20
a, MINIMIM BILLING: Facility Charge
PAYMENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance.
SPECIAL FACILITIES
4 All services which require special facilities in order to meet
r` cu t omer's service requirements shall be provided subject to the
special facilities rider.
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PRORATION OF UTILITY BILLS
a
(a) Billing for tLe Facility charge shall be based on 12
5 ,
billings annually.
Formula:
Actual 16s ainreading period x facility charge
Ys
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(b) Billing for the water used shall be based on 30 days per
month to determine the million gallon consumption to be
? charged to each rate block,
} Formula
Actual days in reading period x GAL in rate block x RATE per
30 daya 1,000 gallons in rate block
+
1
1
a
11
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j SCHEDULE WC
COMMERCIAL/INDUSTRIAL WA-ER SERVICE RATE
APPLICATION
Applicable to all commercial and industrial users
or her
all water water users not otherwise classified under this ordinance. otFor
provided at one point of delivery and measured through
{ one meter,
Not applicable to resale service in any event, nor to temporary,
standby, or supplementary service except in conjunction with
j applicable rider,
NET MONTHLY RATE
(1) Facility Charge
Billing_Pe p Days
3(,4" Meter 12.75
1 Meter
1-1/2" Meter 114
6,25
2" Meter 18.00
3" Meter 53.50
4" Meter 190.00
6," Meter 115.00
8 Meter 130.00
(2) Volume Charge $1.85
per 19000 gallons
MINIMIii BILLING:
Facility Charge
PAYMENT
j
1 Bills are due when renderedo and become within 15 calendar days from date of issuance peat due if not paid
F SPECIAL FACILITIES
All services which require special facilities in order to meet
customers service requirements shall be provided subject to the
special facilities rider.
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j PRORATION OF UTILITY BILLS
I (a) Billing for the Facility charge shall be based on 12 bill-
ings annually.
d
Formula:
1 Actual days in reading period x facility charge
j 3 ays
(b) Billing for the water used shall be based on 30 days per
month to determine the gallon consumption to be charged to
each rate block.
Formula: 1
F Actual days in reading period x GAL in rate block x RATE per
30 days 1,000 gallons in rate block '
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E SCHEDULE WCS
COMMERCIAL/INDUSTRIAL WATER SERVICE METER
I
USED TO DETERMINE WASTEWATER VOLLME97-
APPLICATION
1 Applicable to all commercial and industrial users, or other
water users not otherwise classified under this ordinance, For
all water provided at one point of delivery and measured through
one meter to be used in determining wastewater volumes only.
(Sae Section S-2A of Sewer Service Ordinance for volume charges,
Ordinance No. 87-197, as amended.)
Not applicable to resale service in any event, nor to Lempo
rary, standby, or supplementary service except in conjunction
with applicable rider.
NET MONTHLY RATE
Facility Charge Billing Per 30 Days
3 /4" Meter 12,75
! 1 Meter 14,00
III 1-1/2" Meter 16.25
2" Meter 16.00
3n Meter 53.50
4" Meter 90.00
6" Meter 115.00
8" Neter 1130.00
MINIMLM BILLING: Facility Charge
Pb,1MENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance.
SPECIAL FACILITIES
All services which require special facilities in order to
meet customer's service requirements shall be provided subject to
the special facilities rider.
PRORATION OF UTILITY BILLS
Billin8 for the Facility charge shall be based on 12 billings
E annually. Formula:
Actual da s in reading period x facility charge
days
PAGE 10
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SCHEDULE WCN
f
E COMMERCIAL/ INDUSTRIAL WATER SERVICE
( NOT CONNECTED TO SEWER
APPLI___-_CATION
i Applicable to all commercial and industrial users, or other
water users not otherwise classified under this ordinance. Lor
all water provided at one point of delivery and measured through
one meter where the metered water is not returned to the waste-
water
i product on eor f irrigation collection or where wastewater ~ e flow water is mused in
separately.
easured
Not applicable to resale service in any event, nor to tempo
rary, standby, or supplementary service except in conjunction
with applicable rider.
NET MONTHLY RATE
! (1) Facility Charge Billing Per 30 Devs
3/4" Meter
I" Meter 12.75
14
1-1/2" Meter 1
6.25
2 Meter 18,00
;s 3" Meter 53.50
4" Meter 90.00
611 Meter 115.00
811 Meter 1130.00
(2) Volume Charge $1.85 per 1,000 gallons
MINIML14 BILLING: Facility Charge
PAYMENT when within 115 tale duar days frmedate oa become f issuance pest due if not paid
SPECIAL FACILITIES
All services which require special facilities in order to
meet customers service requirements shall be provided subject to
the special facilities rider.
h '
PAGE 11
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PRORATION OF UTILITY HILLS
:(a) Billing for the Facility char e
ings annually, y g shall be based on 12 bill-
. s'
Formula:
I Actual e s in readin eriod x facility charge
91 ays
{b} Billing for the water used shall be based on
month to determine the gallon consumption to be30charge to
each rate block, y per
Formula:
Actual da a in readin
1 aya eriod x CAL in rate block x
1,000 gallons in rate blocky
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SCHEDULE WWI
WATER SALE FOR RESALE TO MUNICIPAL CORPORATIONS, i
WATER DISTRICTS, AND OTHER GOVERNMENTAL ENTITIES `i
BY AGREEMENT EFFECTIVE PRIOR TO JUNE It 1986
{ APPLICATION _
Applicable t,, all water sales contracts with municipal
corporations, waLar districts, or governmental entities made prior
to June 1986, for the purpose of providing water for resale to
the public.
Not applicable for temporary, standby, or supplementary service
except in conjunction with applicable rider.
I MONTHLY CHARGES
(1) Facility Charge $150.00
(2) Volume Rate $ 0.73 per 1,000 gallons
(3) Demand Rate $192.00 perr1,00~ 0 gallons
i
M *ANNUAL CHARGE
I
(4) Readiness to Serve Rate $ 0.3813 per 1.000 gallons
*As determined in the last month of each Contractual Water
Year. The annual charge, if any, shall be included on the
monthly billing for the next July following the end of the
Water Year for which it is charged, and shall be billed and be
payable in accordance with the monthly billing provided for
below.
PAYMENT
Denton shall render bills by the tenth (10th) day of each
month. Bills shall be due and payable when rendered."Bills are
considered delinquent if not paid by the twenty-fifth (25th) day
of the month. There shall be a five percent (5x) or five hundred
dollar ($500.00) charge, whichever is leas, added to the bill if
not paid by the twenty-fifth (25th) of the month.
EFFECTIVE DATE
The charges stated herein shall be applied to all water services
supplied after January 1, 1989. Until January 10 1989, applicable
charges will be determined by Schedule W3 of Ordinance No. 87.152.
PAGE 13
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SCHEDULE WW2
WATER SALES FOR RESALE TO MUNICIPAL CORPORATIONS,
WATER DISTRICTS, AND OTHER GOVERttXENTAL ENTITIES
BY AGREE ENT AFTER JUNE 1 1986
j
APPLICATION
Applicable to all water sales contracts with municipal corpora.
tions, water districts, or governmental entities made on or after
June 1, 1986, for the purpose of providing water for resale to the
I public.
Not applicable for tem rar '
except in conjunction with applicabstandb
le riders supplementary service
MONTHLY CHARGES
(1) Facility Charge $164.25
(2) Volume Rate $ 0.73 per 1,000 gallons
1 (3) Demand Rate
$262.56 er 1 000 &allons
*ANNUAL CHARGE
i
(4) Readiness to Serve Rate $ 0.3813 per 1,000 gallons
*As determined in the last month of each Contractual Water
Year. The annual charge, if an
monthly billing for the next July shall following the wend of the
Water Year for which it is charged, and shall be billed and be
payable in accordance with the monthly billing provided for
below.
PAYMENT
Denton shall render bills on the tenth (10th) day of each month.
Bills shall be due and payable when rendered, Bills are considered
delinquent if not paid by the twenty-fifth (25tQ da
month. There shall be a five y of the
($500.00) charge, whichever is less,
ent added)torthevbillnif notolpeid
by the twenty-fifth (25th) of the month. If not paid by the lest
day of the month, there ,hall be an additional interest charged on
the unppaid balance, o .,di to the auction average rate quoted on a
bank discount bas' for a twenty-six (26) week treasuryy bill
issued by the United States government, as published by the
Federal Reserve, for the week prior to the date such bill or bills
are delinquent, or ten percent (10%), whichever is less.
PAGE 14
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EFFECTIVE DATE
The charges stated herein shall be applied to all water services
supplie d after January 1, 1989. Until Januar 1, 1989, applicable
" charges will be determined by Sch y
edule W3A of Ordinance No. 87-152.
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SCHEDULE WG
1 INTRA-GOVERNMENTAL SALES OF FINISHED WATER
IIiI APPLICATION
? Applicable to sales of finished water to all City of Denton
Departments and accounts supplied at one point of delivery and
measured through one meter.
Not applicable to resale service in any event, nor to temporary,
standby, or supplementary service except in conjunction with
applicable rider.
I NET MONTHLY RATE
t (1) Facility Charge Billing Per 30 Days
3/4" Meter 11.25
1" Meter 12.50
1-1/2" Meter 15.50
2" Meter 17.50
3" Meter 53.50
411 Meter 85.00
611 Meter 107.00
81I Meter 1125.00
(2) Volume Charge $ 1.80 her 1,000 gallons
MINIMUM BILLING: Facility Charge
PAYMENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance.
SPECIAL FACILITIES
All services which require special facilities in order to meet
customer's service requirements shall be provided subject to the
special facilities rider.
PRORATION OF _UTILITY BILLS
(a) Billing for the Facility charge shall be based on 12 bill-
ings annually.
PAGE 1L
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? Formula:
Actual days in reading period x facility charge
3 days
(b) Billing for the water used shall be based on 30 days per
` month to determine the gallon consumption to be charged to
each rate block.
Formula:
Actual days in reading period x GAL in rate block x RATE per
days 1,000 gallons in rate block
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SCHEDULE WGN
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INTRA-GOVERNMENTAL WATER SERVICES NOT CONNECTED TO SEWER
j APPLICATION
Applicable to sales of finished water to all City of Denton
Departments and governmental agencies supplied at one point of
delivery and measured through one meter where the metered water is
1 not returned to the wastewater system for collection and treatment.
11
i Not applicable to resale service in any event, nor to temporary,
standby, or supplementary service except in conjunction with
applicable rider.
NET MONTHLY RATE
(1) Facility Charge Billing Per 30 Dam
I 3/4" Meter 11.25
l" Meter 12.50
1.1/2" Meter 15.50
2" Meter 17.50
3" Meter 53.50
4" Meter 85.00
6" Meter 107.00
8" Meter 125.00
.I
(2) Volume Charge $1.80 per 1,000 gallons
MINIMUM BILLING: Facility Charge
PAYMENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance.
SPECIAL FACILITIES
All services which require special facilities in order to meet
customer's service requirements shall be provided cub,ject to the
special facilities rider.
PRORATION OF UTILITY BILLS
(a) Billing for the Facility charge shall be based on 12 bill-
ings annually,
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Formula:
Actual days in reading period x facility charge
30 days
(b) Billing for the water used shall be based on 30 days per
month to determine the gallon consumption to be charged to
each rate block,
i
Formula:
Actual days in reading period x GAL in rate block x RATE per
days 1,000 gallons in rate block
'fr KAr
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SCHEDULE WG U
INTRA-GOVERNMENTAL SALES OF UNTREATED WATER
APPLICATION
Applicable to all City of Denton Departments and accounts for
untreated water supplied at one point of delivery and measured
through one meter.
Not applicable for resale except in conjunction with applicable
rider.
NET MONTHLY RATE
(1) Facility Charge $115,00 per 30 days
r` (2) Volume Charge $ 1.05 per 1,000 gallons
MINIMLM BILLING: Facility Charge
PAYMENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance,
SPECIAL FACILITIES
All services which require special facilities in order to meet
+F { customer's service requirements shall be provided subject to the
special facilities rider.
PRORATION OF UTILITY BILLS
(a) Billing for the Facility charge shall be based on 12 bill-
ings annually.
Formula:
Actual a in readin _period x facility charge
flya- a---
(b) Billing for the water used shall be based on 30 days per
month to determine the gallon consumption to be char ed t
each rate block, g o
Formula:
Actual des it reading period x GAL in rate block x RATE per
`oats 1,000 gallons in rate block
PAGE 20
4 i 1
SCF r.DULE WF
STANDBY FIRE SERVICE WATER LINE
APPLI__ION
Applicable to commercial and industrial users for unmetered
I fire service water line to serve only sprinklers or other private
fire fighting equipment.
Not applicable for resale in any event.
NET MONTHLY RATE
Facility Charge Billing Per 30 Dave
u
Line 80
8" Line $20.
32.06
06
MINIM Ud BILLING: Facility Charge
PAYMENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance.
SPECIAL FACILITIES
All services which require special facilities in order to meet
customer's service requirements shall be provided subject to the
special facilities rider.
PRORATION OF UTILITY BILLS
(a) Billing for the Facility charge shall be based on 12 bill-
1 ings annually.
E Formula:
Actual days in readin riod x facility charge
30 ays
PAGE 21
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SCHEDULE WFH
METERED WATER FROM FIRE HYDRAN
I T
f ! APPLICATION
Applicable for all water taken through a fire hydrant or other
direct distribution line source at one location for private or
commercial use not associated with fire fighting,
DEPOSIT; 9650,04
User shall place a deposit for each use of each of the City's
` hydrant meter(s) needed. Deposit to be returned when meter is
returned and final bill is paid.
E NET RATE
Volume Charge: 9 1.94 per 11000 gallons
Volume use shall be computed b subtra
by ctin
at time of $ the meter
customer paying deposit and receiving meter fromemete8
reading upon return of meter times any applicable multiplier,
FACILITY CHARGE: $ 20,00 per 30 days
INSTALLATION CHARGE: 9 41.30 per meter per installation
PAYMENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance.
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SCHEDULE WRE
EXTRA-JURISDICTIONAL RESIDENTIAL WATER SERVICE
APPLICATION
Applicable for single family residential service, and ir.di-
vidually metered apartments or mobile homes or multi-family
facilities with less than 4 units outside the corporate limits of
the City of Denton.
NET MONTHLY PATE ,
(1) Facility Charge Bill1U Per 30 Days
K 3/4" Meter 9.00
i Meter 10.00
1-1/2" Meter 14.00
2" Meter 116.00
(2) Volume Charge Rate Per 1,000 Gallons
WINTER SUMMER
I Billing months of Billing months of
r NOV. through APRIL MAY through OCT.
0-15,000 gals 2.45 2.43
15,000.30,000 pals 2,45 3.25
Over 30,000 gals 2.45 4.00
MINIMUM BILLING: Facility Charge
PAYMENT
Bills arA due when rendered, and becomo past due if not paid
within 15 calendar days from date of issuance.
SPECIAL FACILITIES
All services which require special facilities in order to meet
customer's servics requirements shall be provided subject to the
special facilitic,! rider.
PRORATION OF UTILITY BILLS
(a) Billing for the Facility charge shall be based on 12 bill-
ings annually.
1
PACE 23
F
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1
Formula:
Actual da s in reading rpe ioa x facility charge
aya
{
(b) monthnto for the determine water used the gal shall be sed on
each rate block. 30 days per
pbaon to be charged to
Formula:
i~
Actuays in raeadin eriod x GAL in rate block x
4 RAPE per
1,000 gallons in rate block
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SCHEDULE WCE
EXTRA-JURISDICTIONAL COMMERCIAL INDUSTRIAL
WATER SERVICE f
APPLICATION €
Applicable for all commercial and industrial users or other
users not otherwise classified under this ordinance outside of the
corporate limits of the City of Denton for all water service
provided at one point of delivery and measured through one meter.
Not applicable to temporary, standby or supplementary service,
except in conjunction with applicable rider.
' I NET MONTHLY RATE
j (1) Facility Charge Billing Per 30 Days
3/4" Meter 15.50
1" Meter 17.00
1-1/2" Meter 21.50
JI 2" Meter 24.50
3" Meter 73.25
4" Meter 123.50
6" Meter 157.50
81' Meter 1178.50
(2) Volume Charge $2.55 per 1,000 gallons
I
MINIMUM BILLING: Facility Charge
PAYMENT
Bills are due when rendered, and become past due if not paid
within 15 calendar days from date of issuance.
x SPECIAL FACILITIES
All services which require special facilities in order to meet
customer's service requirements shall be provided subject to the
special facilities rider.
PRORATION OF UTILITY BILLS
(a) Billing for the Facility charge shall be based on 12 bill-
ings annually.
PAGE 25
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Formula:
Actual da s in readin riod x facility charge
ays
tY9 (b) Billing for the water used shall be based on 30 days per
month to determine tht: gallon consumption to be charged to
} each rate block.
Formula:
..ctual da s in reading period x CAL in rate block x RATE per
ays 1,000 gallons in rate block
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SPECIAL FACILITIES RIDER
(1) Applicability: f
All service shall be offered from available facilities. ~I
a customer service characteristic requires facilities if
and
3 devices which are not normally and readily available at the
location at which the customer requests service, then
Utility shall provide the service subject the
this schedule.
to paragraph 2 he
(2) The total cost of all facilities required to meet the
customer's load characteristics which are incurred b
the
Utility shall be subject to a special contract entered into
s between the Utility and the customer. This contract shall
be signed by borh parties prior to the Utility providin
service to the customer, g
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SECTION II. That if any section, subsection, paragraph,
sentence, 'fase, phrase or word in this ordinancoapplication thereof to any P--rson or circumstances is held
4i invalid by any court of competent jurisdiction, such holding
` shall not affect the validity of the remaining portions of this
;t x ordinance, and the City Council of the City of Denton, Texas,
hereby declares it would have enacted such remaining portions
despite any such invalidity.
SECTION III. That -he Schedule of RA►es herein adopted shall
be a ect ve, charged and applied to _ne first regular billing
cycle on or after October 1, 1988 except for Rate Schedules WW1
and WW2 which shall become effective January 1, 1989.
PASSED AND APPROVED this day of , 1988.
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P E , MA
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ATTEST:
JENNIFER WALTERS, CI SECRET
APPROVED AS TO LEGAL FORM:
DEBRA ADANI DRAYOVITCH, CITY ATTORNEY
BY: 2 c
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Littlill [it 11191F
lilt IIIIILIIII
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.k' ClTYODENTON,TEXAS MUNICIPAL BUILDING / DENTON, TEXAS 76101 / TELEPHONE(817)566.8200
? MEMORANDUh1
TO: Betty bCKean, Executive Director
Municipal Services/Economic Development
FRCh;: Thomas W. Klinck, Director
Personnel/Employee Relations
DATE: September b, 1988
SUBJECT: Recommended Stratcgies on City's Self-Insurance Fund
In researching the insurance fund's status for budgeting purposes in 1987/880
we estimated a flmd deficit by the end of 1987/68 fiscal year at approximately
$ 225,OOU, This *as based on the most recent claims data, "shock" claims
experienced, and projections of revenue and other expenses, I
As a result, the City Manaper's recommendation to City Council was to put
i $170,000 into the insurance fund (split proportionately between the general i
fund and other funds) beginning with the 1968/89 budget year. In addition, a
recommendation for rate increases for City employee dependent coverage was
made that would reasonably bring the fund to a surplus over a 5 year period of
time and yet, not impact City employees' medical expenses too heavily.
The City h!anager also recommended that we set aside $30,000 for an actuarial
audit to assist us in establishing future rates for the fund's long-term
viability.
Since those projections were made, unfortunately, the "shock claims" have not
leveled out as anticipated (Attachment 1). As a result, the projected deficit
1 which reflects actual claims through August 1968, estimated individual stop
1 loss recovery, and other fees and expenses, have been revised upward to
( $363,95U (detailed in Attachment 2),
In studying the claims history of the insurance fund from 1963/84 to 1987/88
(Attachment 3), it is evident that the current budget year is significantly
unusual with the "shock" claims that we have experienced. Yet, it could be
reasonably anticipated that the claims would increase each year by
approximately 10%,
In addition, the following are other revenues anticipated in the 1988/69
budget year:
,1
r Memo - Betty hckean
Insurance In
Page 2
1 Anticipated Revenues Amount
Infusion from City revenues $17U,OU0
" Estimated aggregate stop loss recovery 1500000
Estimated employee contributions from 130,ODO
rate Increases
Additional WC payments with minor plan 500000
design changes (see Attachment 4)
TOTAL $SUO,U00
These additional dollars plus future rate increases planned would begin to
` bring the deficit in line in the 1988/69 and 1989/90 budget years (Attachment
5). Projecting these through to 1992/93 (five year time frame) the fund would
3 be anticipated to maintain its viability (Attachment 6). In the meantime, we
would hire an outside firm to conduct an actuarial audit and make recommen-
dations to properly fund the self-insurance fund in future years.
I
In addition, we are currently in discussions with Gilbert Bernstein at the
Denton Independent School District. he are exploring ideas, mu wally
beneficial plan designs, coverages, and ways to join together to negotiate
more favorable rates with the local Denton hospitals, doctors and other health
care providers (Attachment 7).
F
Finally, I have provided some additional background information on both the
self-insurance health plan and Naxicare and Southwest HMOs (Attachment 8).
Should you require further information on the insurance fund and its current
status, please let me know.
I
Thank you.
j ofF~ mas W. K c c
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090888:1000
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. ATTAMENT 1
SHOCK CLAIMS
Claims $5,000 and over
11/01188 - 07/31/66
Employee's Child Drain Tumor $2371273*
I Former Employee (WORA) AIDS 33,602
I Employee Cancer 28,573
Employee Heart Attack 26,265
Employee's Spouse Depression 161458
Employee Psychological 80353
Employee heart Attack 120162
Employee's Spouse Stroke 229320
E
TOTAL '
*Experted Individual Stop-loss recovery - $1779273
($2.7,273 - $(-,0,000 $1770273)
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ATTACHMENT 2
CITY OF DENTON
SELF INSURANCE FUND
REVENUE/EXPENSE PROJECTIONS
OCTOBER 67 - SEPTEMBER 68
` I Oct 68 Projections
Oct 88 ReviseI Using Apr 68 Data I Projections
Using July 88 Data
88 Data
Revenue I
f
t I I
r City Contribution I I
Premiums
Other £ 26,962a I £ 7071678
1 I
I 284,767c }
- HMO Admin.
- LTD Premiums f
- Emp./Retiree Pd. I f
t Premiums
SUBTOTAL
Ex enses
I
Personal Services I 15,326 I 15,328
Ins. Processing Feesl ILO 797 + 180,587
- Ind. Stop-Loss I
- Aggr. Stop-Loss I I
- Admin. Fee I I
- LTD ChargES
- UR Fees I + j
Claims i 967,956b i 1,147,2O4d
SUBTOTAL I -3
Gain (Loss) I (211,600)
' I (350,614)
I I I
I Funb Balance I
I I
Beginning I (
I -13,276) 6OU
I ( -13,276)
Gain (Loss) ' i (-3500674)
Ending I Z-'f3;7i76~ + 7`3,'„3]
s aEstimated Individual stop-loss recovery - £156,464
a } bActual clairts through April 68 + £60,000/month
cEstimated additional £20,E09 Individual stop-loss recovery
dActual claims - May £ 43 967
June `9,443
j July 1120960
August 132,916
September ILO,wO (Estimate)
1426z
65+GE68:162U
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ATTACh;£NT 3
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cLAIMS hISTCRY
(Fiscal Years 63/64 to 87/88)
Claims Average
Fiscal Year Processing Total Monthly
Claims Costs s Amual Cost Cost )
63/84
$493,632 $33,707 $526739
64/65 4469241 ' $43,694
65/86 30,925 479,166 39,930
573G95
66167 r 379316 6100412 50867
'
648 079 '
67/88 ' 411441 6690520 57 466
9550956 '
25,070 9611026+ 96,102
*Includes claims Paid through July 31, 1968; expected aggregate stop-loss
recover ,
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ATTAMENT 4
CITY OF DENTON HEALTH PLAN
PROPOSED CHANGES
CURRENT CURRENT PROPOSED PROPOSED
EiENEFiT CITY PLAN PPO CITY PLAN PPO CHANGE kkk
PREVENTIVE CAkE ! I I I
Annual Health ! Not Covered I Not Covered I Not Covered I Not Covereo No
Assessment I ! ! I J
Immunizations I Not Covered ! Not Covered I Not Covered I Not Covered I No
Well-Child Care ! Not Covered ! Not Covered ! Not Covered ! Not Covered I tic
Irtmunications/Well I Not Covered i Not Covered i Not Covered i Not Covered i No
baby Care
HOSPITALIZATION I I
! I I f ~
Semi-Private Room 16C% of Eligible I blOO Co-pay 1 80% of Eligiblel $200 Co-pay I Yes
and ICU Care ! Charges After I 90% of ! Charges After I 90% of ! Yes
I $250 Deduct. I Eligible ! $250 Deduct. I Eligible Charges]
Charges
Physician and f Inc. in Above ! Inc. in Above I Included in I Included in Abovel
Surgeon Care ( I I Above I
f ! I I ~
Lab and X-Ra ! Inc. In Above I Inc. in Above f Inc. in Above I Included in Abovel
SKILLED NURSING {
CARE i I I ! !
I
Skilled Nursing I l0U% Hospital ! Not Covered 11LL% Hospital Not Covered I No
! { Average Semi- { I Average Semi- I I
{ Private Rate { I Private Rate !
Max 60 Days I I Pax 60 Days I !
Per Cdnf. I I Per Conf. I I
OTHER k£ DICAL
EXPENSES +
I
Accidental Injury { 1LL% of First 110O% of First 116C% of First 11005; of First I No
I $3L0-balance I MC-balance I 5300-Balance ! 5300-Balance I
$2`.0 Deduct. I 5C% of 1 $250 Deduct. I 905E of I
I 60% of I Eligible Exp.1 80% of ! Eligible Exp. I
Eligible Exp. I I Eligible Exp. J I
I
I
ICE
I
CITY OF DENTON HEALTH PLAN
PROPOSED CHANGES
OENEFIT CURRENT CURRENT PROPOSED
017Y PLAN PPO CITY PLAN PROPPO POSED
CHAfJGE
Emergency Room I $250 Deductible 1
Service 90~%6 of 1 $25O Deductiblel 90% of Eligible I I 60% of 1 Eligible Exp,1 &o% of Eligi- I Expenses No
Eligible Exp. I ' ble Expenses 1 I
I I I I
1 I I I
E Chiropractic Svcs. 1 $250 Deductible l Not Covered 1 I !
! $250 Deductiblel Not Covered 1
~ I 80% of
I I eon of ~ No
' Eligible Exp. j i Eligible Exp. 1 I
I Physical Therapy ! $250 Deductible l Not Covered I I
I 80~ of 1 1 $250 Deductiblel Not Covered l Na 60% of
I Eligible Exp. I I l
I I I Eligible Exp. 1 I
Max Benefit 1 1
Cardiac Rehab Care 1 $250 Deductible I Not Covered I
80b of
1 I I Not Covered I No
Eligible Exp. I I l I
I I I
Physician office 1 $250 Deductible 1 $5 Co-pay 1 I
' Visit e V 1 $250 Deductiblel $10 Cc-pay Officel f
I BUSS of ! Office Visit 80% of Yes
Eligible Exp. I I I Visit 1
I Eligible Exp. 1 I r
Office Surgery I same as Cffice 1 90% of I I I
f Visit I Same as Office 19D% of 1 No
1 i Eligible Exp•1 Visit + Eligible Exp. l
I Office I Same as Office 1 90% of 1 I
Anesthesiology I Visit i Eligible Exp. I SVisits Office 1 9G% of l No
l 1 I Eligible Exp. 1
Hospital Out I Deduct. Waived- 1 100% of I l
Patient Surgery 1 1GG'~ of I Deduct, baived-1 100% of I No
or in Free I Eligible Exp, Eligible Exp.) 100% of I Eligible Exp. I
Standing Surgical l I Eligible Exp. !
Center I l
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CITY OF DENTON HEALTH PLAN
PROPOSED CHANGES
LURRENT LURRENT PROPUSEO PROPOSED
EENEFIT CITY PLAN PPU CITY PLAN PPO CHANGE
Prescription Drugs I Not Applicable l $6 Co-Pay 1 Not Applicable 1 $6 Cc-Pay I No
l # Brand Drugs 1 I Brand Drugs 1
1 $2 Co-Pay I # $2 Co-Pay I I
l Generic Drugsl I Generic Drugs 1
Home Health Care 1 $250 Deductible 1 90% of 1 $250 Deductiblel 90% of I
1 # U% of I Eligible Exp.1 80% of I Eligible Exp. l Na
j l Eligible Exp. l # Eligible Exp. I 1
Ambulance To/From 1 $250 Deduct. I N/A #
Nearest Hcspital I 60% of I I $250 Deduct. I N/A j No
I Eligible Exp. 86% of 1 #
I l l l Eligible Exp. l i
Maternity Cenefits 1 $250 Deduct. 1 90% of $25 l
0 Deduct. 190% of
1 f I No
Physician 60% of Eligible ExR I 60% of Eligible Exp, 1
s I Eligible Ex p. I
Eligible Ex I 1
j MENTAL AND NERVOUS l l f
JJJ I j I
Maximum Lifetime 1 $5U,ODG 1 $50,000 1 $50,000 1 $50,000 j
bLnefit 1 1 1 I 1 I
j Maximum Calendar # $15,000 I $15,000 f $159000 # $15,000 1
Year
Inpatient Hospital 1 $250 Deduct. 1 $100 Cc-Pay I $250 Deduct. I $100 Cc-Pay I No
I 80% of 1 96% of 1 8U% of I 90% of 1
1 Eligible Exp. 1 Eligible Exp.l Eligible Exp. l Eligible Exp.
In-Patient 1 $250 Deduct. { 90% of 1 $250 Deduct. 190% of I No
Physician 1 80% of I Eligible Exp.# 80% of # Eligible Exp. #
I Eligible Exp. i 1 Eligible Exp. I I
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CITY OF DENTON HEALTH PLAN
PROPOSED CHANGES
CURPENI CURRENT PROPOSED PROPOSED
BENEFIT CITY PLAN PPO CITY PLAN PPO CHANCE
Cut-Patient I $250 Deduct, I $20 Cc-Pay I $250 Deduct. 1 $20 Cc-Pay up to I No
Physician I 70% of I up to a Max I 7O% of I a t:ax of 20 1
I Eligible Exp. I of 20 Visits ! Eligible Exp. I Visits Per !
I to a Vax I Per Calerioar l to a Max I Calendar Year !
I Benefit of I Year I Benefit of I I
$2 UCO I I $2 000 I _
1-0IMUM LiFLTI~E I One Killion I Cne Million I One Pillion I One Killion ! No
BENEFITS I Dollars I Collars I Dollars I Dollars 1
I ! I I I
I T~~
WIMUM OUT OF 1 $1,550 Includingl $1,000 Per 1 $21000 1 $1,500 Per I Yes
POCKET I the $250 1 Participant I Irx:luding the I Participant Per I
I Deductible I Per Calendar I $250 Deduct. I Calendar Year I
I Per Par- I Year-Does Notl Per Par- ! Does Not Includel '
I ticipant Per 1 Include the I ticipant Per l the Hosp. I
I Calendar Year I Hospital 1 Calendar Year I Facility Charge I '
_ I I Facility Ch .1 i !
PENALTIES I I I I I I
i
Non Pre-Cer- I No requirement I No requirement} If employee I If employee opts I Yes
tification of a I for pre-cert. I for pre-cert.) opts not to I not to pre-cert,l i
Hospital I I I pre-cert., I Benefits reducedl
Confinement I I I Eenfits re- I to 50% 1
I ! I duced 'o 50% I I
VISION PROGRAM I I I ! I
BENEFITS I I I I I
i ! I I I ,
One Eye Exam Per 1 No Ueductible I No Deductiule I No Deductible ! No Deductible l No
Calendar Year I 106% of l 100% of ! 100% of I l0U% of I
` I Eligible Exp, I Eligible Exp.1 Eligible Exp. I Eligible Ex;,. I
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CITY OF DENTON HEALTH PLAN
y PROPOSEO CHANGES
CURRENT CURRENT PROPOSED PROPOSED
BENEFIT CITY PLAN PPO CITY PLAN PPO CHANGE
Lenses and Frames I $25 Deductible I N/A I $25 Deductible I N/A I No
1 Pair Per Ye.r ! 56% of I I 56% of
Eligible Exp. i i Eligible Exp. i !
Contacts-1 Per ( 50% of I N/A 150% of I N/A ! No
Year I Eligible Exp. I I Eligible Exp, I ! E
a
14042
090688:0830
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ATTACHMENT 5
CITY OF DENTON
SELF INSURANCE FUND
REVENUE/EXPENSE PROJECTIONS
Revised Revised
I
I Oct 69 Projections I Oct 90 Projections
I (Oct 86 - Set 69) I (Oct 69 - Set 90)
I
We Venue
5 City Contribution I $ 1701000 ~
I ii I 639,206e l $ 941,54Ge
I Premiums I 293,26Of I 1431280
tt Other Admin. I
{ - LTD Premiums I l
- Emp./Retiree Pd, I
Premiums
I
11084,
SUBTOTAL
i Expenses II I
I
Personal Services I 15,508 I 151508
Ins, Processing Feesl 184,185 1 184,165
- Ind. Stop-Loss I
- Aggr, Stop-Loss I l
- Admin. Fee I I
- LTD Charges I I
UR Fees I 792,0008 i 871,200h
Claims
SUDTOTAL i 991,693 i `T,g07O1E9
Gain (Loss) I 310r794 I 13,928
~ i##N#########k#NN######!###########NN##NN####N##A########N###!AN##########A###R
h Fund balance
I Beginning I (-363,950) I 53,156)
Gain (Loss) i 3109794 I 13,928
j
3 Ending 5 I 39,229T
###A########N#I##~#N##..#######N######►############N##►##N#N####
N
Estimated i
Additional Revenues I l
I
PPO with plan I
, ' ~ 50 000
o- design changes i SU, LW
l '
'A 3 0 M67
Opxemiun increase 20120/30
f$150,000 Aggregate stop-loss recovery
gS66,U00 average claims per With 10% inflation factor)
h$72,600 average claims per month 10% inflation factor)
1426z
09066671135
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ATTAMMENT 6
CITY OF DENTON
SELF-INSLRANCE FUND
FUND BALANCE
PROJECTIONS
With Rate
Estimated Adjusted Increase Claims
Fund Additional Fund By City Inflation
FY Ealance PPO Revenue Balance Category Contribution Rate
1987/86 $(-3739997)
1988/89 53,156) 501000 39156) 20/20/30 $1709000 +10%
1989/90 391229) 501000 100771 20/20/30 +10%
i
1990/91 290076) 50,000 20,924 10/10/20 +1G% i
1991/92 15,943) 50, GOO 349057 10/10/20 +10%
1992/93 9,626 50,006 590026 10/10/20 +10%
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I ATTACHMENT 7
:M
LIST OF HOSPITALS AND IPAS UNDER NEGOTIATION
WITH COORDINATED BENEFITS SYSTEM
I
Hospitals Physicians
o Flow Memorial
o Baylor/Parkside Lodge o Denton IPA
o Dallas hemcrial Hospital o Lewisville IPA
7^' o Dallas/Fort Worth IPA
o Medical city
o St. Paul o Carrollton IPA
o Denton CcmffQnity Hospital
o A}iI - Yestgate
f
o Parkside - Denton
a o Fort Worth osteopathic
` o Harris hospital Southwest
o hugley Memorial
G o Sherman hedical Plaza
c Plano Willow Park hospital
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AITAMENT 6
i
SELF-INSURED HEALTH PLAN
Background
r o Established 1978 due to significant rate increases by Blue
1r Cross/Blue Shield
f c Life Insurance Company of the Southwest provided claims processing
IIII services through 1967
o Savings on the Plan fran 1978 through 1962 were approximately
$440,000 (difference in premium payments of traditional insurarce
and self-insurance)
o 1966/87 - $100,0D0 surplus (April J967)
I $57,L00 average claims per month (September 1967)
I f
1987/66
o City changed to Coordineted Benefit Systems (CBS) to process claims
s
o Purpose - to lower administrative costs
- to improve claims turnaround
o "Shock claims"
o Preferred Provider Oiganization (PPO) and Utilization Review
through Southwest Preferred Health Network
I Current status
o Negotiations with Independent Physician Assocations (IPA) End
a hospitals (see attachment)
o Contracts with providers through CBS (final contracts for Legal
Review by September 1, 1988)
o Utilization Review through LBS
o Open Enrollment
- October 1988
- Effective hover-ter 1, 1966
Cost Control
o Strategies: supplement fund $170,000
- Employee rate i.-creases
- Favorable Usual/Customary/Reasonable (UCR) rates in PPO
agreemmnts
! . Elinor plan design changes to shfit some costs to claimarts
- fund actuartel audit
1 4963P
090666:1140
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{ HEALTH MAINTENANCE ORGANIZATIONS (HMO)
1 Mardated by Federal Law through the HMO Act of 1973 ;
Ij Maxicare North Texas
o City Joined North Texas PedCare hPO August 19e4 (net federally
qualified)
` o Maxicare North Texas acquired North Texas HedCare February 1981
r (federally qualified)
o Maxicare has doctors and facilities throughout the Denton,
Dallas/Fort north betroplex
o Contract renewal November 1
Southwest Health Plan
o Federally qualified WO E
o Ci'y participation began November 1, 1967
o Established facilities in the Denton, Dallas/Fort Vorth metroplex
1
o Currently negotiating with physicians in Denton
o Contract renewal November 1
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